Mixed Signals on Improving Economy
Sweden seems to be slowly recovering from the economic crisis, although the reviews are mixed.
A new forecast from the bank Handelsbanken says that while this country’s GNP will shrink by 4.7 percent this year, next year it should rebound with a 2 percent increase, followed by a 3 percent boost in 2011.
Handelsbanken predicts that unemployment will reach 8.8 percent this year, and 11 percent next year. But a report from Statistics Sweden is more optimistic. It says the jobless rate here currently is 7.9 percent, better than expected by analysts, and an improvement from 8.9 percent in June.
While Handelsbanken says exports will drop by 11.5 percent this year, the Swedish Trade Council says that its survey of companies indicates growing confidence in increased exports. (gw)